Carmichael welcomes government concession on Ofgem remit

Orkney and Shetland MP, Alistair Carmichael, has welcomed news today [Tuesday] that the government is to amend legislation to include Net Zero goals in the remit of energy regulator Ofgem. The move follows campaigning by MPs from across Parliament including Mr Carmichael in recent weeks, pressing the Energy Secretary Grant Shapps to revisit the matter.

A government amendment to the Climate Change Act 2008 will give the Gas and Electricity Markets Authority (the governing body of Ofgem) a specific net zero duty as part of the everyday decisions they make as the regulator. The news has been welcomed by Nathan Bennett, the head of public affairs at RenewableUK, a leading renewable energy trade board.

Mr Carmichael said:

“Having raised the need for a refresh of Ofgem’s remit with ministers multiple times in recent weeks I am glad that they have seen sense. There has been clear cross-party consensus in support of this change – it is great news that we have gotten it over the line.

“This is a small adjustment in legislation but could make a big difference in how Ofgem approaches projects going forward – a game-changer for green growth in the isles and around the country. It is a chance to boost support for renewables innovators like EMEC and Orbital Marine, to back individual and local renewable projects and to reward energy producers here in the Northern Isles. Now we need to see Ofgem take the ball and run with it.”